The research also noted that property prices in these areas were more affordable, averaging £152,631 and £160,269 respectively — well below the UK average of £226,906.

Adam Kingswood, Kingswood Residential Investment Management, said: "The average monthly rent’s quoted in the report for NG1 and NG7 are very high due to student properties, and the increasing students rents and student housing stock.

"The average rent for the rest of the rental market locally, excluding the student market, is £620 pcm.

Adam Kingswood, director at Kingswood Residential

"More and more Nottingham students want city living, this is a growing student living trend due to typically more modern properties, more amenities being on the door step and good transport links to get over to campuses located outside of NG1.

"Outside of the student market, other class of renters like young professionals and families are experiencing a competitive market with increasing rents and less stock. Lots of apartments that were previously let to professionals are now let to students. Therefore, investors wanting to buy properties to let in other Nottingham postcodes can still benefit from good returns and low void periods too."

Over 580,000 properties where surveyed across England, Scotland, and Wales and locations with a high student population — like Nottingham, Liverpool, Manchester, Leeds - showed some of the UK’s highest rental yields.

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Liverpool took second place, with two postcodes in the top five, and five postcodes in the top 20. Here the student population topped 70,000, including three universities, which is thought to contribute highly to its strong yields.

Newcastle’s NE6 takes sixth place, with an average rental return of 8.43%. Property prices here are far below the UK average at £118,789, with Newcastle and Northumbria universities approximately 30 minutes away on public transport.

Like all things property-related at the moment, London struggled to perform well compared with its UK counterparts.

North London in particular was a poor performer, with five postcodes in the bottom 10. Highgate in N6 was the worst postcode in the capital and third from bottom overall, with paltry yields of just 1.93%.

Landlords whose hearts are set on the capital need to head east for the best return on investment.

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E6 in East Ham offers the best London yields at 4.81%, with Stratford (E15), Plaistow (E13), Poplar (E14), and Chingford (E4) all ranking in the London top 10.

It’s thought that higher-than-average house prices and tighter mortgage-lending criteria have contributed highly to the poor rental yields in London.

Some buy-to-let mortgage providers now require rental payments to cover mortgage repayments by a surplus of 45%, making it harder for landlords to turn a profit.

Based on the research, TotallyMoney has created an interactive map, which landlords can use as a guide to help them identify the most lucrative areas.

Mark Moloney, TotallyMoney’s head of brand and marketing communications, said: "With students flocking to university cities year after year and looking for a place to live, it’s no surprise the student market is a dependable one for landlords.

"Since so many students are looking for accommodation, landlords may use this as an opportunity to drum up competition between them.

"But, due to the tenant fee ban, changes in mortgage tax relief, and tighter buy-to-let lending criteria, rental profits are now being squeezed more than ever. To maximise their returns, landlords need to be savvier."